Question

The cost of a dining table is rs. 8400. A wants to buy it in 10 instal.Ents. His


e.M.I. Is rs. 875. Find the rate of interest?

Answer 1

Answer: Interest is 350.

Step-by-step explanation: cost price of table=8400.

No of installments=10.

So, n=10/12 years.

Rate of interest 5%.

Interest =P×R×N/100

=8400×5×10/100×12

=350.

Now,

Amount to be paid

=interest+cost price

=350+8400

=8700.

EMI =Total amount/Number of installments

=8700/10

= 870.

Hope it helps....